It’s Official: Nissan Acquires 34% Stake In Mitsubishi Motors, Ghosn Proposed As Chairman

After the troubling fuel economy crisis that shook Mitsubishi Motors earlier this year, the small Japanese automaker has been taken under Nissan’s wing, with the latter acquiring a 34 percent equity stake.

The decision is now official and Nissan has become Mitsubishi’s largest shareholder, after paying approximately $2.3 billion. Moreover, as part of the new strategy, MMC will become part of the Renault-Nissan Alliance, helping it enter the world’s top three automotive groups by global sales volumes, with 10 million deliveries in fiscal year 2016.

The combination of Nissan, Mitsubishi Motors and Renault will create a new force in global car-making. It will be one of the world’s three largest automotive groups, with the economies of scale, breakthrough technologies and manufacturing capabilities to produce vehicles to serve customer demand in every market segment and in every geographic market around the world“, said Nissan Chairman and CEO Carlos Ghosn. “We are committed to assisting Mitsubishi Motors as it rebuilds customer trust. This is a priority as we pursue the synergies and growth potential of our enlarged relationship.

Nissan has nominated four representatives to the Board of Mitsubishi Motors, including Carlos Ghosn as chairman-elect. The other names are Hitoshi Kawaguchi, head of global external affairs and chief sustainability officer, Hiroshi Karube, global asset manager and global controller, and Mitsuhiko Yamashita, who is Nissan’s representative on the MMC board.

Carlos Ghosn will continue to support the current MMC President and CEO, Osamu Masuko, but in order to make sure that he doesn’t leave his duties at Nissan behind, he announced a number of other management changes, which become effective on November 1, and see the current Nissan Chief Performance Officer, Trevor Mann, becoming chief operating officer at MMC.

Video

PHOTO GALLERY

2020 Mercedes GLA Compact Crossover Is The A-Class You’ll Most Likely Buy

The new generation of the popular Mercedes GLA is rumored to debut at the Frankfurt Motor Show.

Bowlus Road Chief ‘Endless Highways’ Is A $185k Retro Travel Trailer Bathed In Chrome

The Bowlus Road Chief ‘Endless Highways’ will set you back $185,000.

Kia Driver Cuts Off Rider Who Lands On Hood, Then Angrily Smashes Windshield

Even though the driver was at fault, the rider had plenty of time to take evasive action.

Netflix’s Animated ‘Fast & Furious’ Series Is Coming, Here’s The Trailer

Fast & Furious: Spy Racers will be focused on the cousin of Dominic Toretto.

Is The 2020 Ford Explorer As Good As The Figures Suggest?

The new Ford Explorer sounds impressive on paper but now it’s time to find out what it’s like on the real world.

Tesla Arcade Launches With Beach Buggy Racing 2

Tesla’s new Beach Buggy Racing 2 game will make charging that much more enjoyable.

2020 BMW Z4 M40i Delivers Some Mighty Impressive Figures On The Dyno

This 2020 BMW Z4 M40i pumped out 373 hp through the rear wheels.

Mercedes-AMG GT R Roadster Commands A £30,000 Premium Over The Coupe In UK

The new Mercedes roadster comes with 577hp and a 197mph top speed.

Renault Triber Sub-4-Meter SUV Unveiled With Seating For 7

The Renault Triber is limited to the Indian market and is powered by a small Dacia engine.

2020 Lexus RX Getting Innovative LED Headlights As A World-First

Called BladeScan, Lexus’ new headlamp technology will make nighttime driving safer without dazzling.